Hamburg, Germany-based studio Fishlabs Entertainment announced a large-scale restructuring at the company, including major layoffs, but the company insisted that it would not be dissolved. In July the studio went into "self-administration" in an effort to cut operating costs. As part of this process the company has laid off 25 employees from multiple departments including marketing, art and programming.

"As painful as the current process certainly is, it is also a chance to re-position and get the right investors or strategic partners on board based on a leaner studio setup," Fishlabs CEO Michael Schade tells Forbes. "After all, we are still a veteran mobile games team, including seasoned F2P and console games experts, that have two promising products - one 85% complete the other in late pre-production - running on our own industry leading technology, in the pipeline. Combined with our 40 million hardcore install base of Galaxy on Fire across all relevant mobile games platforms and our excellent OEM relationships at international level, we have a pretty strong story, here.

According to Forbes, the recent round of layoffs leaves the company's headcount at around 54 employees.